The Employment Relations (Trial Periods) Amendment Act 2023 has just been passed by Parliament.
This Act will enable all businesses to include a 90-day trial period in a new employee’s employment agreement. During the 90-day trial period the employer may dismiss the employee and the employee would not be entitled to bring a personal grievance or other legal proceedings in respect of the dismissal. Of course, a personal grievance unrelated to the dismissal could still be raised.
The Act will come into force on the day after it receives Royal assent.
Employers wanting to use 90-day trial periods for new employees in 2024 will need to update their employment agreements. If you would like details on how to implement these trial periods back into your business, please contact a member of our employment law team.
Disclaimer: The content of this article is general in nature and not intended as a substitute for specific professional advice on any matter and should not be relied upon for that purpose.